KUALA LUMPUR: The mobile commerce in Malaysia is expected to grow more than seven times to reach RM3.43 billion in 2015, translating to 60% of the online shopping market, says PayPal South-East Asia and India managing director, Elias Ghanem.
“Last year, the country’s mobile commerce market saw a phenomenal growth to RM467 million, compared with RM101 million in 2010.
“The increase was driven by higher penetration of smartphones and tablets, as well as the change in consumer behaviours,” he told a media briefing on the company’s Online and Mobile Shopping Insights 2011 today.
He said 29% of smartphone users go online before purchasing items to do a comparison of the product information.
“Meanwhile, mobile shoppers constituted close to half of all online shoppers last year, compared with about 22% in 2010, with an increased median spending of RM500 in 2011 from RM387 in 2010,” he said.
Ghanem said according to the study, Malaysians spent RM337 million through their smartphones last year against RM108 million via tablets; however, the latter segment was building up as well.
PayPal Mobile Asia Pacific director Rahul Shinghal said retailers must seize the opportunity in mobile commerce, which has become mainstream with the number of mobile shoppers rising to 650,000 last year from 250,000 in 2010.
“Retailers with an online presence must also enhance their mobile payment system site, because the lack of it would cost a lot of traffic dropout,” he said.